The Value of goods and services ($) box on a package answers one question: what does the sponsor receive that has real value? Your organization decides this number with its tax advisor.
Draft for legal review: This article describes how Redswing works in plain language. It is not tax or legal advice and an attorney has not reviewed it yet. Ask your tax advisor or attorney about your own situation.
Who can do this: Admin or Editor
What the form tells you
Under the box, the form says: "Count only things like playing spots, meals and gifts. A logo or name alone is $0. If this is more than $0 and the price is over $75, the sponsor sees a tax disclosure at checkout."
Not set versus $0 (recognition only)
| What the box shows | What it means | What the sponsor sees at checkout |
|---|---|---|
| Not set (box empty) | You have not decided yet | No tax disclosure |
| $0 (recognition only) (you typed 0) | You decided the sponsor gets only a thank-you: logo, name, announcements | No tax disclosure |
| A number above $0 (for example 400) | The sponsor receives something of that value, like a foursome | A tax disclosure appears at checkout when the price is over $75 |
The two "no disclosure" cases look the same to the sponsor. The difference is for you: Not set means the question is still open. Package list rows show "Value of goods and services: Not set" until you answer it.
Steps
- Open Sponsors and click Edit on the package (or fill the box when you create one).
- Type the value in dollars. Leave it empty only if you really have not decided.
- Click Save changes.
Rules of thumb
- Packages with playing spots, meals, or gifts need a value above $0. Ask your tax advisor how to work it out.
- Packages that give a logo, name or announcement only are usually $0.
- Do not guess a deductible amount for a sponsor. Redswing does not decide whether a sponsorship is deductible. See Sponsorships and tax deductibility.
- Redswing's own $5 booking fee on included golfer spots is never part of what is deductible.
Common problems
| What you see | Why | What to do |
|---|---|---|
| Your package includes a foursome but the value says Not set | The default packages do not set a value | Edit the package and enter the value with your advisor. |
| A sponsor asks if they can deduct the payment | Redswing does not give tax advice | Use the answer in Sponsorships and tax deductibility. |
Related
Screenshots show a sample event. Not real data.